Now that I'm a few years out in the civ world I've realized a couple of things I should have taken care of while in the service. Wanted to share them and see if anyone else can chip in on others so the youngsters can learn from us.
Happy to explain more of this. Or, to get roasted if you all think this is stupid.
- Life insurance - get it as soon as you can. If I could go back I would have purchased a 30 year term life policy during my first sea tour or shore tour. Understand that SGLI goes away, VGLI may not cover your needs, and those health problems you just laughed away in your invincible sea tour days can pop up. And all those complaints you listed on your separation physical? They're fair game for a life insurance underwriter to look into.
- GI Bill - transfer it to your family. It gives you options. By the time I realized separation was actually happening it was too late. I used two years on myself but now have 12 months remaining that I can't transfer.
- Investments - spend a few hours educating yourself on your options and look beyond the standard companies that JOs use. TSP is great. The Boglehead community that supports the late Jack Bogle of Vanguard could save you thousands of dollars.
- Lifestyle - minimize the creep as much as possible. One of my mentors and the best officers I ever served with was a prior E. He and his wife agreed to live on his E-5 salary until he retired. He retired as an O-4 with a nice nest egg. I, on the other hand, had each pay raise already budgeted away and not always on the smartest things. Minimizing lifestyle creep has two huge benefits: 1) accumulating savings and 2) minimizing the financial impact of separating. If you separate pre-retirement (can't speak to retirement) there is a very decent chance you'll take a pay cut for at least your first year.
Happy to explain more of this. Or, to get roasted if you all think this is stupid.